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Japan receives first LNG cargo produced in lower 48 US states

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LNG Industry,

JERA Co. Inc. has announced that an LNG cargo produced in the lower 48 US states has arrived at Chubu Electric Power Co.’s Joetsu LNG terminal, marking the first import of US LNG into Japan.

JERA and Cheniere Marketing International LLP have entered into a sale and purchase agreement (SPA) for the cargo, which was shipped from the Sabine Pass LNG terminal in Louisiana, US. The cargo was delivered to Japan via the Oak Spirit LNG carrier on 7 December 2016, taking approximately one month to arrive at its destination.

In the statement, JERA claims that buying US LNG will help contribute to a stable energy supply in Japan through the diversification of procurement regions and LNG price indices.

The company added that, going forward, it will seek to establish an LNG procurement portfolio capable of flexibly responding to changes in the business environment by increasing its LNG procurement ratio, which is free from destination restrictions, through projects such as the US’ Freeport LNG project.

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US LNG news LNG import news